3 Efficient Steps to Maximize ROI on Facebook Marketing
As on March 31, 2016, Facebook has 1.65 billion users. Out of these, 1.09 billion users login into Facebook on a daily basis. 85% of Facebook users are from outside the USA and Canada. The biggest social media marketing platform has users from almost all age groups. The youth constitute 55% of the total users while people from the age group 30-49 comprise 28% of the total audience. 55% of the total users are men while remaining 45% are women. These statistics mean a lot to any marketer. The platform offers a great opportunity for businesses of all sizes. They can use the platform to showcase products and services to their target audiences. In fact, more than 3 million advertisers have already taken advantage of Facebook to grow their business. 70% of these advertisers are outside the USA. This shows the global reach of Facebook. So, irrespective of who your customers are, you must use this social network to engage with them directly.
Like other great online advertising platforms, Facebook also has its share of challenges. Not all businesses generate an excellent Return on Investment from their Facebook marketing budget. In the same industry, few marketers perform better than others. In this blog, we will look at the techniques that successful marketers use to outperform their peers. Facebook marketing involves organic promotion as well as paid advertising. In this blog, I will focus on useful techniques related to Facebook Adverts.
3 Main Components of Facebook Advertising
Audience – it is your target audience who should see the ads
Creative – the images or videos that are used in the adverts should attract eyeballs.
Ad Copy – short, relevant and compelling ad texts that persuade users to visit your website. The ad copy is further divided into three parts: Headline, Text, and Newsfeed Link Description.
Imagine the Facebook campaigns as a three-wheeler vehicle. You can reach the destination only if all three wheels are functioning properly. And, three excellent wheels are of no use if they are not assembled appropriately and driven by a skilled operator. To run a successful campaign on Facebook, you need to have a sound strategy and an integrated message delivered to the relevant audiences.
The overall ROI from Facebook marketing can be increased significantly by optimizing each of these three elements.
Here is How You Can Fine Tune Various Components of Facebook Ads to Maximize ROI
Your prospective buyers are your target audience. Defining the target audience is the first step of any marketing campaign. No product in the world appeals to everyone. And showing ads to people who will never buy your services is a waste of resources. So you need to define the precise target audiences who are actively looking for your products. The target audience must not be too broad or narrow. Broad target audience leads to waste of resources whereas a narrow target audience hampers the reach of the campaign. So, you must spend significant time on defining the precise target audience.
Fortunately, Facebook offers a variety of tools that can help you select the correct target audience.
You can choose the audience based on several factors such as locations, age, gender, language, etc. You can make the audience precise by using ‘Detailed Targeting’ option. Through detailed targeting, you can select users based on demography, interest and behavior. If used correctly, this option can make your audience incredibly precise.
Use Following Audience Tools to Improve Conversion Rates
The Custom Audience can be a great targeting tool for the businesses that already have a customer or subscriber base. You can create Custom audience by uploading the list of customers’ email or mobile numbers. Facebook will automatically fetch the users who have used the emails or phone number in their profile (or on WhatsApp), and show your ads to them. This is a great tool to cross-sell and upsell to your existing customers. You can show your promotional offers to your subscribers without being a spammer.
There is a specific application of Custom Audience tool to target site visitors. We know that for most websites, less than 1% of the new visitors get converted. Marketers spend most of their energy in generating more traffic. But what is the use of getting traffic that doesn't convert? 70% of the visitors abandon the site within 15 seconds of landing and never return again. Facebook remarketing plays a critical role in bringing back the website visitors. You simply need to install ‘Facebook Pixel’ on your site and create a Custom Audience of all website visitors for the last 30, 60, 90 or 180 days. Create a separate campaign for return visitors and use the custom audience to display ads. The strategy will be more effective if you incentivize visitors to come back. Facebook remarketing can increase your conversion rate by five times or more.
This fantastic tool by Facebook creates an audience that is similar to your customers. Look-a-like audience has made precision targeting simple, easy and accessible to all size of businesses. You can upload the clients' list, and Facebook will use an algorithm to create an audience that shares similar traits with your customers. Facebook has not disclosed the exact characteristics that are taken into account to create a similar audience. However, the results so far have been encouraging, and it shows that Facebook Algorithm does an excellent job in finding the similar audience. This eliminates the guesswork from the process of creating a target audience and improves conversion rates significantly.
Here is a quick tip to use Look-a-like audience more effectively. You need to create separate look-a-like audience for each country where customers live. So, if you have customers from more than one country, make sure that you first segregate the data based on country and then create a look-a-like audience for each country. Uploading the list having customers from multiple countries can give erroneous results.
#2. Creative and Videos
The visuals play a significant role in attracting eyeballs of people. Therefore, images and videos form a major part of Ads on Facebook. The social network has recently made several changes regarding the use of images in ads. The marketers should master the art of using the creative as it fetches better results at lower budgets. A better response from the users will decrease not only the pay-per-click rates but also increase Relevance Score. An increase in Relevance Score means a higher reach at further lower costs.
Here are Quick Tips to Make Your Creatives more Impactful
a. Minimum Text
Avoid using too many texts in images. Rather use it in the Ad Copy. Earlier Facebook used to reject images that had more than 20% of the area covered by text. This restriction has been lifted recently. However, a more stringent norm has been put in place. The reach of the images containing too many texts is being reduced significantly despite higher CPC bid or larger budget. That means, to maximize the reach, you should avoid using a lot of text on images.
b. Design Meaningful Creatives
The visual messaging must be in tandem with the ad copy. Also, the images must immediately relate to the users’ need. Using too abstract, generic or provocative images may draw the attention of wrong users. This will lead to the waste of PPC budget. Remember that less number of relevant clicks will be significantly better than a large number of irrelevant click. So, the images must be meaningful and resonate with your target audience. Using real images has proved to be more useful than stock images. So make your creative or videos close to real life scenarios.
Taking real life instances doesn't mean that the pictures have to be boring or dull or unattractive. Low resolution, scaled up or down images, or poorly captured mobile videos can ruin the entire campaign. The quality of image should be such that you feel proud of sharing them with your friends.
#3. Ad Copy
Ad copy helps in getting more clicks from relevant users. If you create a perfect audience and design an attractive creative but write average text, your ads will not see many relevant clicks. While writing the copy keep in mind that you have five to seven seconds to convince a random prospect in a crowded neighborhood marketplace. Too long ad copies may put a psychological barrier, and alienate busy surfers while too short and curious statements can invite a lot of irrelevant clicks.
A Quick Tip to Convert more Thoroughly Structured Text
- Write offers in headline
- Include benefits in Text
- And write useful features in Newsfeed link description
Facebook marketing can be an incredibly powerful tool to grow your business beyond geographical boundaries. If you are not sure where to start, create a lead generation campaign on Facebook. You will pay on per lead basis. This will reduce the risk dramatically. When you start a campaign, review its performance on a weekly basis and optimize the campaign accordingly. Over time, you will see a significant improvement in the results. No matter what business you are in, your customers are on Facebook. You simply need to devise the right strategy and work relentlessly to grab their attention. Many independent case studies have been published claiming outrageous return on investments through Facebook marketing. While I can’t vouch for their authenticity, I can say that I have acquired 70% of my B2B clients from Facebook. You can do it too with a little patience and perseverance.